Foreign investment in treasuries up 13% in the past week alone
Foreign investment in Egyptian treasuries increased 13% in the past week to EGP 136 bn (USD 7.5 bn), the Finance Ministry’s head of public debt, Sami Khallaf, told Reuters. The increase followed the central bank’s decision to raise interest rates by 200 bps. Central Bank Governor Tarek Amer described the level of investment since the rate hike as “historic,” Ahmed Feteha writes in Bloomberg. Separately, central bank data showed that M2 money supply grew by 38.7% y-o-y in April.
The central bank received on Wednesday the USD 3.2 bn that Egypt raised in last week’seurobond sale, unnamed bank officials tell AMAY. Proceeds from the issuance will be used to bolster foreign currency reserves, for which May figures should be announced next week.